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if you divide your holding by 19, you will just have a fractional amount ie the remainer amount will be less than 1 share .
so say you have 78 shares
divide by 19
the remainder is always less than 1 share - that's all you lose/donate to charity.
hope that helps
@lynny
Check the shareholders letter.
Consolidation 15 new shares for every 19 old shares.
I believe any shares (part) will be collected, sold off and monies donated.
I devided my holding by 19 and worked out I'd lose out on 13 shares.
I could have bought another 6 shares for example, or more to obtain a true division of 19, but decided just to sell.
If it was only a couple, I wouldn't have bothered.
Will we know result today?
Hi Robbyw Can you explain please sorry haven't been watching this so not in the loop just thought Tesco was Tesco so just wandering along in a dream. How do I maximise my profit ( She smiles) Thanks
My wife (tesco employee)holds 16128 shares.On reading the comments she will,after consolidation be left with 12500(approx).
If the share price did not rise to compensate and stayed in the £2.50 bracket with dividends moving forward she would still recover any lost money over time as i see it.
Point being,everyone has a different set of circumstances,some genuine,some through mismanagement and some through circumstance.
Personally on reading this board everyday for weeks i will be glad once this is over
@y11-shx
I believe all part shares are being combined and sold on the open market and monies donated.
Unless things have changed.
When it happened with Aston my broker paid me back the left over ones
y11-shx, if they are only worth £2 then you will lose big time; its essential they start trading in the new format above £2.75 IMHO. JJ
Just divided my holding by 19 and worked out I'd end up losing 13 shares via the consolidation.
Just sold the odd 13.
Only £3 dealing charges with IG, so I'll invest my £29 in pints. :)
Yeah I bought a lump in that dip this morning. I think there worth £2 let’s see if they hold up.
Going to be very interesting to see what it opens at on Monday .. I guess that's when we see if we've all made the right decision ..
y11-shx tomorrow is your last day, as on Monday 15th it goes XD. But I think the cut off is 16.00 and not close of trading so you may want to check with a broker that your plan will work in practice. JJ
Could somebody tell me what date is it when share holders qualify for the dividend?
Despite the very big distraction over the next few days, TSCO should benefit from the increased footfall with Valentines. Their dine in for two meals have had great reviews that should pull in the punters. I will plan in advance and treat the current Mrs leas tomorrow and avoid the Fred Karno's that will unfold at the big four over the weekend.
Jim
difficult to make comparisons. Some did it with VOD yet the fundamentals were different not to mention a totally different sector. RBS did a share consolidation as the sp was dropping almost to the penny share category. Not only that, it was an embarrassment to the BoDs so it gave them a little credibility. If they didn't have a consolidation then during this pandemic the sp would have been 9p. TSCO are not a distressed company.
Panderman, very good morning to you. I'm holding to my belief that the combination of SD and consolidation is going to see me in profit at the end of this month, with the one proviso that the markets don't collapse. I also believe that TSCO is slowly turning itself into a profitable business once more. I prefer OCDO for my deliveries but have tried TSCO and its better than Waitrose in terms of freshness/shelf life. This all impacts on how I view my investment here. JJ
Jim, what's your tactics here then?
I have been invested with RBS, and AML when they went for consolidation. RBS was a damp squib, but the recent AML has worked well in my view. Time will tell in the case of TSCO. JJ
all in my humble opinion of course
Hey I coined that "Scorpion Dividend" lol ...I am well pleased to have bailed on this a few weeks ago, it was never going to go near the 2.59 let alone the broker forecasts this side of the SD. What I am not best pleased about is I had tunnel vision for a year around this Asia disposal and positive broker forecasts. As the situation around the SD became clearer with hindsight this was one in all honesty to have dumped at 2.59 last year and moved on. The thing to my mind is quite clear is that as far as investing in TSCO is concerned with potential upside is this is now on the other side of the SD. I am however for the first time extremely concerned with the BoD team who decided to opt for this SD. This is the first major wrong step in a long time and my concern is there may be more to come. In the light of the SD i also see the repayment of the rebate as a mistake. Tesco incurred significant costs from the outset of the pandemic and imo now was completely entitled to that rebate. Of course because of the SD all the talking heads would be screaming for a windfall tax on Tesco because of the profiteering and the shareholders filling their boots, when in actual fact they are not profiting and in some cases actually incurring losses via tax liabilities. That would be too much for the talking heads to understand because hey its a Special Dividend and share consolidation would be ignored. Stock split GOOD ...Stock Consolidtion BAD.
30th of jan there was a few speculating about the dividend,
Also as mentioned but missed that day and it’s a good point Tesco sold and leased back properties to fund their global domination attempt, now why on earth not buy back the leases ? In effect it’s like a equity release, a fair point in this Scorpion dividend fiasco ooh I mean SPECIAL Dividend of course
Rosy I’m sure I said with less shares in the market the dividend would rise to 20% as let’s say they made 2 billion, 1 billion they give to shareholders which was 9.21p last year so if they made 2 billion again ( we will have to see as there’s the cost of covid to come out unless they put that under another sticker of course) so 20% less shares I wouldn’t be surprised if the dividend is 11.5-12p for the year actually making a nice 4% if I may say so ,
jj
''In due course the SD is paid out, the value of TSCO has NOT altered, hence my 789 shares will I've calculated be priced at around 313p''
The current market cap of Tesco takes into consideration the Billions of pounds sitting there ready to be returned to shareholders. When the capital is returned via the special payment the
assets of Tesco will be reduced by that amount.
You will only get an increasing share price after consolidation from buying demand/ market rerate .
L
''Before the close on Friday''
HSBCinvestdirect are suspending trading on Tesco at 16.00 TODAY to allow time for the consolidation.
Share consolidation in principle should increase the share price proportionately in the short term at least. (New 15 shares being worth old 19 shares) but in this case, it is unlikely to happen as the SD is going to come out of Tesco monies at the same time. The share price, in theory again, should stay about the same after consolidation. But in my experience, consolidation is bad news (c.f. stock split, which is generally good news) for the share holder. The SP will most likely languish rather than increase in the near future.